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Worldwide Economic Issues

ts are to be put becomes definite and the goods in question are given their specific qualities; that origin of goods is the location where substantial transformation occurs. Anti-dumping laws also are applied by the United States in the contemporary international economic environment to attain protectionist objectives through a denial of market access that otherwise would not be permissible under GATT and WTO rules. The GATT Antidumping Code allows countries to adopt protectionist anti-dumping laws that frequently are used to promote questionable objectives within the context of open international trade.

Another troublesome issue present in the contemporary international economic environment is the effect that freer trade in the contemporary period is having on the income gap between skilled workers and laborers in developing countries. Freer trade is expected to improve the lot of developing countries by not only improving general income levels in those countries, but also by reducing the income disparity between skilled workers and laborers in developing countries. The most recent experiences with the globalization multinational enterprise activity, however, has not supported this tenet of economic theory, as the income disparity between skilled workers and laborers in developing countries has been widening in the wake of the increased globalization of the international economy.

Because it is held that freer international trade increases the scope of labor specialization, and achieves economies of scale through the enlargement of markets, most economic theory holds that international trade should be free of artificial restrictions. The most recent experience of many developing countries has not conformed to the various international economic theoretical predictions, however, the validity of many of the essential policies upon which international economic development is being based are being called into question.

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Worldwide Economic Issues. (1969, December 31). In LotsofEssays.com. Retrieved 17:11, May 04, 2024, from https://www.lotsofessays.com/viewpaper/1693610.html